- BCBS report: 19 banks invested €9.4 billion in crypto, with XRP (2% of the total, €188 million) emerging especially with dominant BTC (31%) and ETH (22%).
- Other Cryptocurrencies: Includes DOT, ADA, SOL, LTC, which shows the wider acceptance of blockchain in banking.
- Rise of XRP: Gained institutional interest due to Ripple’s legal victories and expansion of banking services.
BTC, ETH, and XRP Make Up for 90% of Exposures
A recent report from the Basel Committee on Banking Supervision (BCBS) revealed that 19 leading banks covering North America, Europe, and other regions have collectively invested €9.4 billion —approximately of $10.27 billion—in various crypto assets, with XRP being a favorite.
The growing prominence of XRP in banks’ investment strategies is significant. According to the BCBS report, XRP commands a significant position by comprising about 2% of the total exposure. This translates to €188 million or $205 million, placing XRP as the third largest altcoin in the banks’ reported commitments.
However, while XRP is gaining attention, it is perhaps not surprising that Bitcoin (BTC) and Ethereum (ETH) remain the dominant coins in banks’ crypto investments. BTC accounts for 31%, closely followed by ETH at 22%. Investment vehicles tracking these top cryptocurrencies also play a major role, representing 25% for BTC and 10% for ETH.
The BCBS findings also shed light on other popular cryptocurrencies in the portfolios of these financial institutions, including coins such as Polkadot (DOT), Cardano (ADA), Solana (SOL), and Litecoin (LTC). While there is a small percentage, their inclusion signals an expanding interest and public acceptance of blockchains within the banking sector, reflecting a dynamic change in how traditional financial institutions accept the market. in crypto.
Why Are Institutions Interested in XRP?
BCBS findings offer insights into how global banking institutions are adapting and strategically navigating the field of cryptocurrencies, and XRP has become an institution of value.
As reported by CryptoPotato, crypto institutional inflows increased to $1.32B as digital asset investment products attracted inflows of $176M last week, per a report from CoinShares.
XRP saw inflows of $0.5M, according to the report, while coins such as Cardano (ADA) and Litecoin (LTC) also saw positive inflows, with $0.8M and $0.4, respectively. Institutional interest in XRP has surged amid Ripple’s legal victories against the SEC, as the company has expanded its banking offerings to more countries in the past few weeks.
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